Dry Cargo | Freight rates are rising, how to save sea freight?

As 2023 enters the second half of the year, global shipping is about to usher in a peak season. Recently, many shipping companies have begun to adjust the freight rates of various routes around the world. As the freight rate starts to rise, how to save money in the transportation link in international ocean freight? This is a matter of great concern to shippers.

For a professional freight forwarder, it is necessary not only to understand the market conditions of the shipping market and how to deal with shipping companies, but also to master the skills and methods to save the transportation cost for the cargo owners as much as possible while ensuring the safety and efficiency of the cargo.

01 Scientific planning of transportation routes

It is very necessary to scientifically plan the transportation route of goods. For example, to European ports, although most shipping companies have the difference between basic ports and non-basic ports, the freight difference may be between US0 and US0. The division of this fee will be different for different shipping companies. To understand the division of different companies, you can get the most favorable freight rate by choosing a shipping company.

For another example, the transportation methods of the ports on the east coast of the United States areAll waterwaysandland bridgeTwo ways, and the price difference between the two may be hundreds of dollars. If you don't meet the shipping schedule, you can ask the shipping company for the full waterway method.

02 Reasonably design packaging

Every means of transport hasCarrying weight and maximum capacityrestrictions, then this should be considered when designing the packaging of the goods. For example, if the quantity of goods of the owner is calculated and there is extra space or insufficient space for packing, then the quantity of goods must be changed. For example, combining two orders into one full container, or reserving the excess quantity for the next shipment, the cost savings will be considerable.

In addition, product packaging must be checked before shipment.Scientific ComputingThe specific method is to refer to the volume of the container, design the packaging according to the order quantity; then design the size of the carton according to the size of the inner box of the container, and research an optimal packing plan to make the container reach an ideal state.

03 Arrive at the port using appropriate transportation methods

Goods in the mainland can choose different inland transportation methods to collect in Hong Kong. Generally speaking, the price of train transportation is the cheapest, but the procedures for delivery and pick-up are complicated, and it is suitable for large-volume goods that do not meet the delivery time. Truck transportation is the easiest, quicker, and slightly more expensive than trains. The most expensive is to load the container directly in the factory or warehouse, which is suitable for those items that are not suitable for multiple loading and unloading.

On the premise of fully understanding the goods, scientifically choose the optimal port transportation method, which can save transportation costs.

04 Reasonable handling of LCL goods

The transportation procedure of LCL is much more complicated than that of FCL, and the freight is relatively flexible. There are many shipping companies that do FCL, and the price will be relatively transparent in the shipping market. Of course, LCL also has an open market price, but the additional charges of various transportation companies vary greatly, so the freight price on the price list of the transportation company will only be part of the final charge.

(1) Confirm all items charged in writing to see if their quotation is a lump-sum price.

(2) Calculate the weight and size of the goods clearly to prevent the other party from tampering with it.

(3) You can find a company that specializes in LCL. This kind of company directly assembles containers, and the freight and surcharges they charge are much lower than those of intermediate companies.

05 Negotiate with the shipping company

Master the skills of bargaining with shipping companies:

(1) If you are really a big customer, you can directly sign a contract with the shipping company and apply for preferential freight rates.

(2) Find out the different freight rates obtained by declaring different cargo names. Most shipping companies charge for the goods separately, and some goods can be classified in different ways.

(3) If you are not in a hurry, you can choose a slow ship or a non-direct ship, of course, this must be on the premise of not affecting the arrival on time.

(4) The freight price in the sea freight market changes frequently, so it is best to have more information about the freight rate.

Summarize:

For freight forwarders, in international ocean transportation, scientific planning can indeed save costs. However, saving transportation costs is not a matter of penny-pinching freight rates, because the most important thing in cargo transportation is cargo safety and transportation efficiency.

For cargo owners, finding a professional freight forwarding company is the best choice. If a professional freight forwarder signs a contract with the shipping company, the price you can get from the shipping company will be very cheap; second, the long-term cooperative freight forwarding company cooperates more tacitly, and generally can get lower freight.